Dollar Shows Strength

The dollar rose against the Japanese yen on Monday, drawing strength from a plunge on the Tokyo Stock Exchange as investors worried about the impact of the Kobe earthquake on Japan’s economy and rebuilding costs.

The dollar also advanced on the German mark, despite widespread European political and financial woes that had driven investors away from dollars and toward the perceived safety of German markets recently.

But after posting healthy gains in Asian and early European dealings, the dollar retreated in New York as traders mulled reports suggesting Congress could reject or cut the Clinton administration’s proposed $40 billion loan-guarantee package for Mexico, hampering its efforts to recover from the peso crisis.

Canada .7043 1.4199 France .1914 5.2235 Germany .6627 1.5090 Great Britain 1.5965 .6264 Japan .010050 99.50